Citi sees strong growth in Asian trade corridors

Citi is targeting 25 percent growth in revenues from client work in intra-Asia trade corridors in 2019. This comes after the bank reported strong growth in these corridors in 2018.

Citi’s client growth will mainly come through a series of key trade corridors in the Asia Pacific region that the bank has identified and invested further resources in which has supported growth, the bank said in a statement on Thursday.

Its key corridors include Korea to ASEAN, Korea to China, Korea to India, Japan to ASEAN, Japan to China and China to ASEAN.

“Asia is capturing a greater share of global trade and US companies will increasingly target Asia and we expect strong growth as intra-Asian trade corridors expand further,” said Gerry Keefe, Citi’s head of corporate banking for the Asia-Pacific.

Having recognised the shift in trade flows and the stronger presence that China and broader Asia will continue to play in the movement of trade flows, Citi put in place a strategy to capitalise on the ongoing growth along these corridors.

Citi opened additional Asia desks over 2017and 2018 to help clients as they look to expand to new areas and markets across these corridors. The bank now has over 20 Asia desks in operation – including 11 China Desks, nine Korea Desks and an India Desk in New York and Korea.

“Our aspiration is to be the best at everything we do and the best banking partner along the Asian Trade Corridor. Citi’s strong network and long-standing relationships with clients and regulators across the corridor, places Citi in an excellent position to partner the rapid growth and economic progress of Bangladesh,” said N Rajashekaran, Citi’s country officer for Bangladesh.

“Bangladesh has demonstrated notable progress in economic and social parameters with clear development priorities that is attracting investments and partnerships from the Asian Business Corridors. Citi’s established network and breadth of product capabilities ensure that Citi is well placed to support clients,” said Shams Zaman, head of corporate and investment banking at Citi Bangladesh.

The work Citi does for clients in these corridors includes capital raising, M&A, trade finance, cash management and FX hedging. Clients include all of Asia’s major corporate champions and emerging champions and also leading companies in the Fortune 500 – where Citi already banks 90 percent of this group in the region.